Louisiana Kinship Guardianship Subsidy Program (KGSP): What Relatives Need to Know
If a grandchild or relative's child was placed in your home through DCFS and you later took legal guardianship, Louisiana's Kinship Guardianship Subsidy Program may cover a monthly payment that is higher than the standard KCSP rate — plus automatic Medicaid for the child.
KGSP is one of the least-understood kinship programs in the state, partly because it only applies to a specific group of caregivers. Here is how it works and who qualifies.
What KGSP Is and Who It Serves
KGSP is a Title IV-E federal program administered by DCFS. It provides ongoing financial support to relatives who assumed legal guardianship of a child who was previously in state foster care custody.
The key distinction from KCSP: KGSP requires prior child welfare involvement. The child must have been removed from their home by court order and placed into DCFS legal custody before being placed with you as a certified relative foster parent.
Four conditions must all be met:
- Prior DCFS custody. The child was in a Child in Need of Care (CINC) proceeding and placed in DCFS legal custody.
- Foster parent certification. You completed certification as a licensed foster parent and cared for the child as a certified relative foster parent for at least six consecutive months.
- Court findings. The court determined that reunification with biological parents and adoption are both not viable permanency options.
- Agreement timing. A formal Subsidized Kinship Guardianship Agreement was negotiated and signed between you and DCFS before the juvenile court finalized legal guardianship.
That last requirement catches people. If the court finalizes guardianship before the KGSP agreement is in place, the subsidy window closes.
Payment Rates and What KGSP Covers
KGSP monthly subsidy rates match Louisiana's foster care board rates, which are higher than both FITAP and KCSP base amounts. The exact rate depends on the child's age and any special needs classification.
KGSP payments automatically include Medicaid coverage for the child — no separate health insurance application needed.
KGSP agreements can also reimburse up to $2,000 in non-recurring legal and administrative costs you incurred to finalize legal guardianship. If you paid court filing fees, attorney costs, or document preparation charges, keep those receipts.
How Long KGSP Lasts
Subsidies generally continue until the child turns 18. Under state plan amendments, payments can extend to age 21 if the young adult is:
- Completing high school or a GED program
- Enrolled in post-secondary education
- Participating in a workforce development program
- Living with a documented physical or mental disability
KGSP agreements also allow you to name a designated successor guardian. If you die or become incapacitated, the subsidy transfers to the successor without the child re-entering foster care.
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KGSP vs. KCSP: The Core Differences
Both programs pay relatives who are raising someone else's child, but they serve different pathways:
| Feature | KCSP | KGSP |
|---|---|---|
| Monthly payment | $450 flat per child | Foster care board rate (varies by age/needs) |
| Prior foster care required | No | Yes — child must have been in DCFS custody |
| Foster parent certification | Not required | Required (6+ consecutive months) |
| Income limit | Household below 150% FPL | No income test |
| Medicaid included | Apply separately | Automatic |
| Legal cost reimbursement | None | Up to $2,000 |
If the child came to you through a family arrangement — not through DCFS — KGSP does not apply. KCSP is the program for private kinship placements.
What About Adoption Subsidies?
Louisiana also offers adoption assistance subsidies for relatives who adopt a child out of foster care rather than taking guardianship. Adoption subsidies similarly match foster care board rates and include Medicaid. The decision between guardianship and adoption involves legal permanency considerations that go beyond financial benefits — consult with your DCFS caseworker or a free legal aid attorney to understand which path fits your family.
Getting Started
If you are currently serving as a certified relative foster parent through DCFS and considering legal guardianship, contact your DCFS caseworker about initiating the KGSP agreement before filing the guardianship petition. The agreement must be executed first.
For a complete picture of every Louisiana benefit available to kinship caregivers — including KCSP, FITAP, SNAP, Medicaid, and CCAP — the Louisiana Financial Help for Kinship Caregivers guide walks through each program, what documents you need, and how to apply.
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